Question Period Note: INFRASTRUCTURE IN ONTARIO
About
- Reference number:
- INFC-012021-INFC-0009
- Date received:
- Sep 21, 2020
- Organization:
- Department of Housing, Infrastructure and Communities
- Name of Minister:
- McKenna, Catherine (Hon.)
- Title of Minister:
- Minister of Infrastructure and Communities
Issue/Question:
Infrastructure construction delays in Ontario due to labour shortages.
Suggested Response:
Investing in Canada infrastructure projects are moving forward across the country. The Government of Canada is making historic investments in infrastructure to grow our country’s economy and improve Canadians’ quality of life.
By providing long-term, predictable infrastructure funding to provinces and territories, the Government is ensuring ongoing construction and creating jobs across industries.
We will continue to work closely with Ontario and all of the provinces, territories and other key delivery partners, to ensure that all Canadians have access to the infrastructure they need and deserve.
Background:
In fall 2019, Infrastructure Ontario publicly noted that there is concern that the construction industry in Ontario might not have the capacity to complete the increasing number of infrastructure construction projects in the province.
Ontario construction stakeholders, including the Residential and Civil Construction Alliance of Ontario (RCCAO), have noted that their members have reported that it is difficult for Ontario construction firms to find workers, a situation which has been exacerbated by the high volume of construction projects in Ontario.
The province of Ontario recently announced a $28.5 billion public transit plan for the Greater Toronto Area. Ontario will receive $7.5 billion in funding for public transit infrastructure under the Investing in Canada Infrastructure Program.
The construction sector employs 1.4 million workers – representing over 7% of the workforce. The construction sector in Canada is facing a significant demographic challenges primarily due to an aging workforce. It is projected to lose 22% of its workforce over the next decade due to retirements.
Labour productivity in the construction sector has consistently lagged behind the national average with construction sector productivity at $46.8 per hour in chained (2012) dollars compared to Canada’s overall labour productivity of $59.4 per hour as of 2018.
The construction sector in Canada is currently spending approximately $62 million dollars annually on research and development, $25 million is being spent within Ontario.
The Department of Employment and Social Development Canada (ESDC) is working to support apprenticeship training in the skilled trades, including construction, in an effort to boost skill development to increase productivity.
ESDC is also working to increase access and increase the participation of under-represented groups, and especially women, in the skilled trades which could help the construction sector gain new entrants to replace the retirement of predominately older male workers who currently make up the bulk of the sector.
Some examples of recent ESDC initiatives to support skills development and encourage new entrants to the skilled trades include:
◦ The Women in Construction Fund, which will help women enter and succeed in the trades, through supports such as mentoring, coaching and tailored supports that help women progress through their training and find and retain jobs in the trades;
◦ The Apprenticeship Incentive Grant for Women pilot program to encourage women to pursue careers in Red Seal trades with low female representation. Under the new Grant, women would receive $3,000 for completing each of the first two years of training, in combination with the Apprenticeship Completion Grant valued at $2,000, resulting in a combined $8,000 in support;
◦ The new Pre-Apprenticeship Program, which will support all Canadians, including those from under-represented groups, to explore the trades, gain work experience, make informed career choices, and develop the skills needed to find and keep employment in the skilled trades;
◦ A new Union Training and Innovation Program will be implemented to help strengthen union-based apprenticeship training, innovation and enhanced partnerships. The program will support innovative approaches to address challenges to participation and success in the trades, particularly for women and Indigenous people;
◦ Continuing to work with Public Services and Procurement Canada to promote apprenticeships on federally owned infrastructure projects.
Additional Information:
None